– Working alongside business needs to support achievement of business ambitions and long-term success.
– Staying up to date with business changing priorities, challenges, opportunities and needs, and can meet a wide variety of funding requirements
– We can provide finance to support you with improving cash flow, refinancing existing debt, buying assets among other financial service

Corporate Lending

Corporate Lending is aimed at ensuring support of general business needs or growth objectives through comprehensive selection of Corporate Lending products. The benefit is derived from a wide range of finance products for business growth through, recapitalizing, refinance and cconsolidating debt. Whether one want to recapitalize, refinance or consolidate your debt or finance a new project or acquisition, we offer a range of products to help the business. We aim to provide a quick response with support from experienced product specialists and dedicated deal teams.
The corporate lending product and services includes;

a) Overdraft

It has the following features

– This helps the client to gain convenient access to flexible funding without being tied to drawdown or repayment dates.
– The working capital is supported, enabling you to cover short-term cash flow fluctuations caused by everyday expenses or unexpected demands.
– Access of funds up to the agreed limit at any time.
– Product is uncommitted and repayable on demand.
– It’s offered as part of business current account.
– Convenient and simple to administer and monitor through account statements.
– Minimizes finance costs because interest is only payable on what one borrows
– Available in all currencies.

b) Term loan

It has the following features

– Provides finance over an agreed term.
– Provides funding for a range of business needs, such as consolidation of existing debt or purchase of assets to enable growth (for example plant or machinery, property).
– Offers flexible features – available in a number of currencies, so you can match your loan to income in a currency, potentially reducing the need for Foreign Exchange risk management; choice of a fixed or variable interest rate tracking Spire Bank Base Rate, or a mix of both; and choice of a single or staged drawdown
– Gives you a flexible repayment structure so you can match payments with income

c) Stock Financing

This product can be extended to facilitate performance under identified sales contracts and will often be predicated on the credit strength of the end buyer provided that the loan must be repaid within the production and sales collection cycle of the related contract.

d) Pre-Shipment Finance

The terms and rationale for pre-shipment finance are similar to those applicable to stock finance except that the sales contract would normally be backed by an export order. The repayment risk will be covered by restricting payment of the export documents to Spire Bank to facilitate recovery of the loan before passing the balance to the borrower.

e) Post Import Finance

The Bank enables an importer of goods to defer payment of the goods to his supplier under a Letter of Credit, until goods imported have been sold and proceeds of the sale have been received. (This is a supplement to the import LCs).

f) Invoice Discounting

This product helps to bridge the gap created by extension of credit to end buyers. As in stock finance the limit will be extended in place of a normal overdraft to ensure that each advance is liquidated upon collection of the related debtors. The buyer will also be required to channel the payment under the invoice through the borrower’s account with the Bank..

g) Warehouse Financing

From time to time, major importers may require assistance to bring in economic size shipments of the commodities that they trade in or use as raw materials. Provided that the client’s ability to use or sell the commodity is not in doubt and subject to the existence of a proven secondary market the Bank may consider financing such an import. The commodity should have a wide market (preferably internationally traded) to minimize the risk of disposal by the Bank. Examples include crude oil, palm oil, petroleum, wheat, maize etc. The product will be housed in an independent warehouse under a Collateral Manager and will be released to the importer only upon receipt of written instructions from the Bank confirming receipt of payment from the client. Bank finance will be limited to 80% of the cost, insurance and freight (CIF) in order to mitigate the risk of any adverse change in prices. The client will meet 20% of CIF in addition to other incidentals such as clearing, warehousing, insurance, rent and collateral management expenses.
The Bank retains title to the goods with unrestricted right of sale should the client fail to take the goods within any pre-agreed off-take period. Perishable commodities are not considered under the warehouse finance program.

g) Forex lines

including Spot deals, Swap and Forward Exchange Transactions

Trade Finance Products

a) Letters Of Credit And Refinancing Lines

Normally referred to as LCs. LC is a of arranging payment – offering considerable security to both the supplier and the buyer of the goods & Services especially used for international trade.

b) Guarantees, Bid And Performance Bonds

A bond/bank guarantee is an undertaking by the Bank on behalf of its client to pay a certain sum of money to a beneficiary in case of default by the applicant in meeting certain Terms and Conditions of an agreement and contract.

Asset Finance.

We offer asset finance facilities on identifiable, tangible and movable economic items that your organization may be looking to acquire.
These items may include the following amongst others;

Organizations wishing to pay their insurance premiums in instalments instead of one lump sum are able to benefit from our insurance premium finance facility.
Our terms and conditions are favourable to the borrower to allow a stress free payment period for their insurance